REPORT TO COMMITTEE(S) OF COUNCIL

INTERNAL ROUTING CHECKLIST

ORIGINATING DEPARTMENT: City Manager’s Office	DIVISION: Real Estate Services
REPORT AUTHOR: Bev Daoust	PHONE No. 580-2424 x13931
REPORT TITLE: Villa Marconi Long Term Care Centre Lease Renewal Fisher Heights Daycare/Recreation Space 1026 Baseline Road
REFERENCE No. ACS2009-CMR-CPO-0017
DOCUMENT FILE NAME/PATH: S:\PROPERTY\R.E.S\PRO_ACQ\Bev Daoust\PROJECTS\2008 PROJECTS\VILLA MARCONI\COUNCIL REPORT.DOC

APPLICANT: N/A

APPLICANT’S ADDRESS: N/A

WARD: 9

CONTROVERSIAL: Yes No

To Be Presented To				Date of Meeting
Committees
1. Corporate Services				Next or 3 March 2009
2.				Next or
3.				Next or
Council				Next or 11 March 2009
Other Divisions/Branches Consulted					Forwarded To
Financial Services Unit or Financial Planning					YES NO
Supply					YES NO
Legal					YES NO
Others Planning & Growth Management					YES NO
Contacted / Consulted / Advised by Department
Elected Official(s) / Ward(s)		Councillor Gord Hunter – Knoxdale-Merivale Ward 9
Public Groups / Individual(s)
Advertising/Notice
Regular Advertising Required			NO YES Date:
Municipal Act Notice Required			NO YES Date:
For Originating Department’s Use			Approved			Date
1.	Originating Division Director or Delegate - - Report is acceptable
2.	Financial Services Unit Manager, Financial Planning or Delegate (if applicable) – Report Recommended to City Manager		John Goold			10 October 2008
3.	Supply (if applicable) – Report Recommended to City Manager
4.	Other
5.	Program Manager		Bruce Stansfield			20 January 2009
6.	Manager		Gordon MacNair			03 February 2009
7.	City Manager or Delegate – Report approved to leave Department		Kent Kirkpatrick			06 February 2009

1. VILLA MARCONI LONG TERM CARE CENTRE - LEASE RENEWAL FISHER HEIGHTS DAYCARE/RECREATION SPACE 1026 BASELINE ROAD, Ottawa

centre de soins de longue durée villa marconi – renouvellement du bail garderie et espace récréatif fisher heights, 1026, chemin baseline, ottawa

COMMITTEE RECOMMENDATION

That Council approve the Lease Renewal with the Villa Marconi Long Term Care Centre for the Fisher Heights Day Care Facility and recreation space at 1026 Baseline Road, Ottawa, containing 8,262 ft², for a five (5) year term from 1 August 2009 to 31 July 2014 for the total consideration of $578,340 plus GST.

RECOMMaNDATION DU COMITÉ

Que le Conseil  approuve le renouvellement du bail du Centre de soins de longue durée avec Villa Marconi pour la garderie et l’espace récréatif Fisher Heights situés au 1026, chemin Baseline, Ottawa, d’une surface de 8 262 pi², pour une durée de cinq (5) ans, du 1 août 2009 au 31 juillet 2014, et pour la somme totale de 578 340$, TPS en sus.

DOCUMENTATION

1. City Manager’s report dated 17 February (ACS2008-CMR-CPO-0017).

Report to / Rapport au :

Corporate Services and Economic Development Committee

Comité des services organisationnels et du développement économique

and Council / et au Conseil

17 February 2009 / le 17 février 2009

Submitted by/Soumis par: Kent Kirkpatrick, City Manager / directeur municipal

Contact Person/Personne ressource: Gordon MacNair, Manager, Real Estate Services

Corporate Project Office / Gestionnaire, Services immobiliers

Bureau des projects municipaux

(613) 580-2424 x 21217, Gordon.MacNair@ottawa.ca

Knoxdale-Merivale (9)

Ref N°: ACS2009-CMR-CPO-0017

SUBJECT:	VILLA MARCONI LONG TERM CARE CENTRE - LEASE RENEWAL FISHER HEIGHTS DAYCARE/RECREATION SPACE 1026 BASELINE ROAD, Ottawa
OBJET :	centre de soins de longue durée villa marconi – renouvellement du bail garderie et espace récréatif fisher heights, 1026, chemin baseline, ottawa

REPORT RECOMMENDATION

That the Corporate Services and Economic Development Committee recommend Council approve the Lease Renewal with the Villa Marconi Long Term Care Centre for the Fisher Heights Day Care Facility and recreation space at 1026 Baseline Road, Ottawa, containing 8,262 ft², for a five (5) year term from 1 August 2009 to 31 July 2014 for the total consideration of $578,340 plus GST.

RECOMMANDATION DU RAPPORT

Que le Comité des services organisationnels et du développement économique recommande au Conseil  d’approuver le renouvellement du bail du Centre de soins de longue durée avec Villa Marconi pour la garderie et l’espace récréatif Fisher Heights situés au 1026, chemin Baseline, Ottawa, d’une surface de 8 262 pi², pour une durée de cinq (5) ans, du 1 août 2009 au 31 juillet 2014, et pour la somme totale de 578 340$, TPS en sus.

BACKGROUND

The Fisher Heights Day Care is a municipally operated Child Care Centre providing care for children in a group setting. The daycare center is the primary user of the site and the recreational space is used by community groups, non-profit groups and recreational programs. The daycare facility and community groups have enjoyed the benefits of this location at 1026 Baseline Road since August 2002.

The current lease expires on 31 July 2009 and Real Estate Services has been advised by the City Operations Department that the daycare facility and recreation space will continue its operations from this location.

DISCUSSION

The term of the Lease Renewal is five (5) years commencing 1 August 2009 and ending 31 July 2014. The combined rental rate of $14 per square foot includes $7 per square foot for base rent and $7 per square foot for operating costs (to be adjusted on an annual basis) for a total consideration for the term of $578,340 plus GST. The lease renewal includes an option to renew the lease for two additional five (5) year terms. The City also has the right to terminate the lease upon six (6) months written notice to Villa Marconi Long Term Care Centre. The remaining terms and conditions of the current lease remain in place. The property is zoned I1 (Minor Institutional), which permits the recreation space and the City’s daycare facility use.

The rental rate of $14 per square foot is considered to be at market for similar institutional uses.

CONSULTATION

The Ward Councillor is aware of the staff recommendation.

FINANCIAL IMPLICATIONS

The cost of the lease renewal has been incorporated in the 2009 operating estimates for the City Operations Department within the Public Works Branch.

LEGAL/RISK MANAGEMENT IMPLICATIONS

There are no legal/risk management implications for the City.

DISPOSITION

Following Council’s approval, the Corporate Project Office and Legal Services Branches will finalize this Lease Renewal.